Negative macroeconomic statistics from the United States | 19 7月 2022

19 7月 2022, USD/JPY

Negative macroeconomic statistics from the United States

USDJPY trading plan:

U.S. home builder sentiment plummeted in July to its lowest level since the early months of the coronavirus pandemic, as high inflation and the steepest borrowing costs in more than a decade brought customer traffic to a near standstill. At the same time, a gauge of activity in the services sector activity in the U.S. Northeast turned negative this month for the first time in a year, and firms there do not see an improvement over the next six months. The component for current sales of single-family homes fell to 64 from 76. The gauge of single-family sales expectations for the next six months fell to 50 from 61, while the prospective buyer traffic index tumbled to 37 from 48. Now, much of that is rapidly reversing as the Fed, facing inflation running at its highest pace in four decades, has begun to raise rates and is far from done on that front. The U.S. central bank has lifted its benchmark overnight interest rate by 1.50 percentage points this year from the near-zero level and could hike it by another 2 percentage points or more by year's end.

Investment idea: sell 138.01 and take profit 137.44.

David Johnson
Analyst of «FreshForex» company
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